Trump and Junker strike deal to avert trade war between EU and USA; agree to work toward ‘zero tariffs’

President Trump and European Commission President Jean-Claude Juncker on Wednesday reportedly reached an agreement to avoid a trade war.

Trump secured concessions from European leaders at the White House, including promises to increase soybean imports and to work on lowering industrial tariffs for markets on both sides of the Atlantic, according to Dow Jones reports that cited a European official.

Trump and Juncker were set to make a joint statement in the Rose Garden on Wednesday afternoon.

Markets favorably responded to reports of a deal on Wednesday afternoon.

Trump earlier this year implemented steep aluminum and steel tariffs on the European Union. The bloc responded with retaliatory tariffs on U.S. goods.

Trump had escalated his rhetoric toward the EU at various times in recent weeks, most notably telling CBS News that he considers the longtime U.S. allies a “foe” because of trade.

Prior to Juncker’s visit to the White House, he had raised the specter of taxing European cars, further ratcheting up concerns that the president would spark a global trade war.

The U.S. continues to levy tariffs against Canada, Mexico and China, with each of those nations slapping retaliatory tariffs on American goods.

Republican and Democrats alike have warned that tariffs ultimately hurt American workers, but Trump has dug in on the policy.